Estonia Population: 1,258,545

After centuries of Danish, Swedish, German, and Russian rule, Estonia attained independence in 1918. Forcibly incorporated into the USSR in 1940 - an action never recognized by the US - it regained its freedom in 1991 with the collapse of the Soviet Union. Since the last Russian troops left in 1994, Estonia has been free to promote economic and political ties with the West. It joined both NATO and the EU in the spring of 2004, formally joined the OECD in late 2010, and adopted the euro as its official currency on 1 January 2011.

air polluted with sulfur dioxide from oil-shale burning power plants in northeast; however, the amounts of pollutants emitted to the air have fallen dramatically; the pollution load of wastewater at purification plants has decreased substantially; Estonia has more than 1,400 natural and manmade lakes, the smaller of which in agricultural areas need to be monitored; coastal seawater is polluted in certain locations

conventional long form: Republic of Estonia conventional short form: Estonia local long form: Eesti Vabariik local short form: Eesti former: Estonian Soviet Socialist Republic etymology: the country name may be derived from the Aesti, an ancient people who lived along the eastern Baltic Sea in the first centuries A.D.

note: counties have the administrative center name following in parentheses

Independence:

20 August 1991 (declared); 6 September 1991 (recognized by the Soviet Union)

National holiday:

Independence Day, 24 February (1918); note - 24 February 1918 was the date Estonia declared its independence from Soviet Russia and established its statehood; 20 August 1991 was the date it declared its independence from the Soviet Union

Constitution:

history: several previous; latest adopted 28 June 1992 amendments: proposed by at least one-fifth of Parliament members or by the president of the republic; passage requires three readings of the proposed amendment and a simple majority vote in two successive memberships of Parliament; passage of amendments to the “General Provisions” and “Amendment of the Constitution” chapters requires three-fifths majority vote of Parliament for a referendum and majority vote in a referendum; amended several times, last in 2015 (2016)

Legal system:

civil law system

Suffrage:

18 years of age; universal for all Estonian citizens

Executive branch:

chief of state: President Kersti KALJULAID (since 10 October 2016)

head of government: Juri RATAS (since 23 November 2016)

cabinet: Cabinet appointed by the prime minister, approved by Parliament elections/appointments: president indirectly elected by Parliament for a 5-year term (eligible for a second term); if a candidate does not secure two-thirds of the votes after 3 rounds of balloting, then an electoral college consisting of Parliament members and local council members elects the president, choosing between the 2 candidates with the highest number of votes; election last held on 29-30 August 2016 but three rounds were inconclusive; two electoral college votes on 24 September 2016 were also indecisive, so the election passed back to Parliament; on 3 October the Parliament elected Kersti KALJULAID as president; prime minister nominated by the president and approved by Parliament

highest court(s): Supreme Court (consists of 19 justices including the chief justice and organized into civil, criminal, administrative, and constitutional review chambers) judge selection and term of office: the chief justice is proposed by the president of the republic and appointed by the Riigikogu; other justices proposed by the chief justice and appointed by the Riigikogu; justices appointed for life

Estonia, a member of the EU since 2004 and the euro zone since 2011, has a modern market-based economy and one of the higher per capita income levels in Central Europe and the Baltic region. Estonia's successive governments have pursued a free market, pro-business economic agenda, and sound fiscal policies that have resulted in balanced budgets and low public debt. The economy benefits from strong electronics and telecommunications sectors and strong trade ties with Finland, Sweden, and Germany. After two years of robust recovery in 2011 and 2012, the Estonian economy faltered in 2013 with only 1.6% GDP growth, mainly due to continuing recession in much of the EU. GDP growth in 2014 was 2.9% but dropped to 1.2% in 2015 due to lower demand in key Scandinavian export markets. GDP growth is expected to be about 2.2% in 2016. Estonia is challenged by a shortage of labor, both skilled and unskilled, although the government has amended its immigration law to allow easier hiring of highly qualified foreign workers.

note: data cover general government debt, and includes debt instruments issued (or owned) by government entities, including sub-sectors of central government, state government, local government, and social security funds

general assessment: foreign investment in the form of joint business ventures greatly improved telephone service with a wide range of high-quality voice, data, and Internet services available

domestic: substantial fiber-optic cable systems carry telephone, TV, and radio traffic in the digital mode; Internet services are widely available; schools and libraries are connected to the Internet, a large percentage of the population files income tax returns on

Russia and Estonia in May 2005 signed a technical border agreement, but Russia in June 2005 recalled its signature after the Estonian parliament added to its domestic ratification act a historical preamble referencing the Soviet occupation and Estonia's pre-war borders under the 1920 Treaty of Tartu; Russia contends that the preamble allows Estonia to make territorial claims on Russia in the future, while Estonian officials deny that the preamble has any legal impact on the treaty text; Russia demands better treatment of the Russian-speaking population in Estonia; as a member state that forms part of the EU's external border, Estonia implements strict Schengen border rules with Russia

Refugees and internally displaced persons:

stateless persons: 85,301 (2015); note - following independence in 1991, automatic citizenship was restricted to those who were Estonian citizens prior to the 1940 Soviet occupation and their descendants; thousands of ethnic Russians remained stateless when forced to choose between passing Estonian language and citizenship tests or applying for Russian citizenship; one reason for demurring on Estonian citizenship was to retain the right of visa-free travel to Russia; stateless residents can vote in local elections but not general elections; stateless parents who have been lawful residents of Estonia for at least five years can apply for citizenship for their children before they turn 15 years old

Illicit drugs:

growing producer of synthetic drugs; increasingly important transshipment zone for cannabis, cocaine, opiates, and synthetic drugs since joining the European Union and the Schengen Accord; potential money laundering related to organized crime and drug trafficking is a concern, as is possible use of the gambling sector to launder funds; major use of opiates and ecstasy